CDW Q4 2019 Earnings Report
Key Takeaways
CDW Corporation announced excellent topline growth and profitability for Q4 2019, with net sales reaching $4,537 million, an 11.3% increase compared to Q4 2018. The company's performance was driven by its balance across customer end markets, the breadth of its product and solutions portfolio, and the ongoing execution of its strategy for growth. Excellent operating results were amplified by share repurchases, delivering an 18 percent increase in Non-GAAP net income per diluted share for 2019.
Total Net sales increased by 11.3% to $4,537 million compared to the fourth quarter of 2018.
Gross profit increased by 12.1% to $778 million compared to the fourth quarter of 2018.
Operating income increased by 16.8% to $284 million compared to the fourth quarter of 2018.
Non-GAAP net income per diluted share increased by 18.4% to $1.57 compared to the fourth quarter of 2018.
CDW
CDW
CDW Revenue by Segment
CDW Revenue by Geographic Location
Forward Guidance
For 2020, CDW expects to continue to outpace US IT market growth by 200 to 300 basis points on a constant currency basis.
Positive Outlook
- Continue to outpace US IT market growth by 200 to 300 basis points
- Laser-focus on meeting the needs of more than 250,000 customers
- Remain the partner of choice for more than 1,000 leading and emerging technology brands
- Ongoing execution of our strategy for growth
- Balance across customer end markets
Challenges Ahead
- Global and regional economic and political conditions
- Decreases in spending on technology products and services
- Substantial competition that could reduce CDW's market share
- Potential breaches of data security
- Fluctuations in foreign currency
Revenue & Expenses
Visualization of income flow from segment revenue to net income